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Canavino's management style allowed Patrick to flourish by balancing psychological and sociological empowerment. In addition, treating all levels of employees as information sponges led to normative compliance. Resource dependency theory explains why IBM was able to morph from a sleeping giant, to an industry leader.
Old Big Blue
The company's large hierarchical structure made it difficult, if not impossible, to understand and manage external issues effectively. Hierarchical structure breeds unbalanced power, effectively leading to corruption within the organization. If we believe balanced power leads to effective communication within an organization, then it is evident why IBM was failing because of the "turf battles" among managers...
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